WASHINGTON, D.C. – The Biden administration announced Monday that about 39 million families will begin receiving monthly child tax credit payments for the first time.
The payments are part of the expanded child tax credit program in the American Rescue Plan.
Families will get monthly payments of up to $300 for each child under 6 years old and up to $250 for each child 6 to 18 years old. The first payments will start July 15th.
Around 80% of the families that qualify have direct deposits already set up and do not need to take any additional steps. The other 20% will get payments by check or debit card.
The $1.9 trillion COVID-19 relief plan, which the Senate passed in March, boosted the child tax credit program for the 2021 tax year.
The plan raises the maximum payments a family can receive per child from $2,000 to $3,600.